I use InterVideo WinDVD 4 to screencap movies, but I think that came with my computer, or my uncle (who set it up) installed it, so I don't know how I got it. Most people use VLC media player, which you can download off the net. If your computer is slow like mine though, it won't work very well (pausing at precise points is difficult with mine because the pause is slow to work). Matt uses it and his computer is faster so it works well for him.
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